BCL Ind Shares Jump 11% To Hit 52W-High On Conversion Of Warrants Into Shares

BCL Industries Ltd.'s stock climbed 11% on Friday, reaching new 52-week highs for the day, as investors continued to add to their profits. The stock saw a spike of 11.19% from its previous wrap-up of Rs 71.17 to begin on the BSE at Rs 74.89 each and rise to a new 52-week high of Rs 79.14 during the morning trades. The spike in stock price occurred on Thursday when BCL Industries converted the warrants into equity shares for a subset of investors.

"This is in furtherance to the intimation given by the Company on 4th March,2023 w.r.t. allotment of 54,66,334 (Fifty-Four Lakhs Sixty-Six Thousand Three Hundred Thirty-Four) warrants, each convertible into equity shares of face value of Rs. 10/- each, ("Warrants") at an issue price ("Warrant Issue Price") of Rs. 360.00 each, after receipt of subscription amount being 25% of the issue price from the allottees on preferential basis.

This is to inform further that subsequent to the stock split from Rs. 10/share to Rs. 1/share w.e.f. 27/10/2023 all warrant allottees are eligible to get the benefit of the corporate action taken by the Company at the time of conversion of warrants into equity shares thus making them eligible to get 10 equity shares allotted to them against conversion of each warrant they have subscribed," said BCL Industries in a stock exchange filing.

"Pursuant to Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015 ("SEBI Listing Regulations"), we wish to inform you that the Board of Directors of the Company through resolution by circulation on 6th December, 2023 have considered and approved the allotment of 1,01,50,000 (One Crore One Lac Fifty Thousand) Equity shares of the face value of Rs.1/-each as fully paid-up shares at a price of Rs. 36/- per equity share (including premium of Rs. 35/share), consequent upon the conversion of 10,15,000 (Ten Lac Fifteen Thousand only) Warrants issued earlier for Rs. 360/-, after adjusting the number of shares, paid-up capital per share and premium per share post sub-division of nominal value of the Equity Share of the Company from 1 Equity Share of Rs. 10/- each to 10 Equity Shares of Re. 1/- each out of the balance 38,46,334 (Thirty-Eight Lacs Forty-Six Thousand Three Hundred Thirty-Four) warrants on preferential basis, upon receipt of an amount aggregating to Rs. 27,40,50,000/- (Rupees Twenty-Seven Crore Forty Lacs Fifty Thousand only) at the rate of Rs. 270 (Rupees Two Hundred Seventy Only) per warrant (being 75% of the issue price per warrant) from the allottees," informed the company to the stock exchanges.

Following the settlement of the outstanding balance, Elara India Opportunities Fund converted 9,50,000 warrants for an amount of Rs 25.65 crore and Vespera Fund converted 65,000 warrants for Rs 1.75 crore for the conversion.
28,31,334 warrants are still pending conversion as a result of this conversion of warrants/allotment of equity shares.

These warrant holders are entitled to have their warrants converted into equity shares of the company by paying the remaining 75%, or Rs. 270/-per warrant, within 18 months of the date of warrant allotment. The issued, subscribed, and paid-up equity share capital of the company has grown to Rs. 26,78,50,000 as a result of the present conversion. This amount is made up of 26,78,50,000 fully paid-up equity shares, each valued at Rs. 1/-.